The Cox Industries deals with a wide range of wood products for residential and industrial use. Apart from this, the company provides customized goods including laminated columns, railing systems and fencing pickets. The organization is also specialized in several other factors of economy including mile working and drying. The Cox Industries majorly markets its services by the building of survey dealers, relationships with specialties in distribution, as well as the companies specialized in utility.
Q: How do you manage the fact that the company, being a family-owned business, does not follow the formal management structure?
A: As the CEO of the company, as far as I consider my family members in employment of the staff, I have a responsibility of making sure the company reaches its goals. Even though family is important in considering employing workers for the institution, I make sure that even though I employ family members, they should be professionals in the area I employ them to work in (Chrisman 359-365).
Q: How do you deal with underperforming family members in the family business?
A: Apart from the fact that we are family, performance is highly appreciated. The fact that the employee is a part of the family gives him/her an advantage over other employees. Despite this fact, all the family members have to work in accordance with the company's policies. They have to follow all the procedures set up by the company (Sharma 1-36). Failure in doing so comes with repercussions that every employee of the company faces despite if they are family or not.
Q: How do you handle family issues that interfere with the family business you are in charge of?
A: As far as business is concerned, engaging family issues in business will only result in the business being infiltrated with family issues more than an actual running business. As the CEO of The Cox Industries, I have a responsibility of making sure that domestic family issues are handled away from the family business (Habbershon 1-25). I let the family members take care of their family matters at home, while business relations should stay within the bounds of the company's environment.
Q: How do you manage to administer the business without being seen as strict on the members of your family?
A: There is a great difference between a business and family issues. As a manager, I try to separate the issues affecting the family and important issues concerning the business. I have to balance between family and business. I handle the business level more professionally than I handle the family issues and make sure to separate these two.
Q: How do you manage to handle the finances of the family business and the financial problems the member of the family business face?
A: Well, basically I consider all the financial problems affecting the employee members of the family as my own. The only way I can contribute to solving their financial problems is by helping them out with my own finances. The finances of the company are considered separate from the financial problems the members of the family face.
Q: How do you manage in coordinating family and non-family employees?
A: Basically, as a manager, I try not to discriminate any person, especially based on family. I consider ever member of the company equal and judge them according to their performance.
Q: How do you deal with family relationships?
A: I tend to make sure that family relationships do not interfere with my managerial skills. Basically, I keep myself away from family matters by assuring that I am accountable for every professional action I take against every family member.
Q: How do you manage dealing with both family decisions and decisions affecting the company?
A: Actually, I allow family decisions to take effects outside the business unless they directly affect the business. Since the business is family owned, decisions made by the family affecting the business are considered (Schulze 99-166). I have no power of opposing such decisions.
Best ways to manage a family business include employing certain aspects in handling the business. Separating family issues from business ones enables avoiding confusing business decisions with family decisions. A manager of a family business is entitled to make sure he/she treats all the employees equally and does not employ nepotism. Underperforming family members should not be tolerated even if the business does not follow a formal management structure.
- Chrisman, James J., Jess H. Chua, and Shaker A. Zahra. Creating wealth in family firms through managing resources: Comments and extensions. Entrepreneurship Theory and Practice 27.4 (2003): 359-365.
- Habbershon, Timothy G., and Mary L. Williams. A resource-based framework for assessing the strategic advantages of family firms. Family Business Review 12.1 (1999): 1-25.
- Sharma, Pramodita. An overview of the field of family business studies: Current status and directions for the future. Family business review 17.1 (2004): 1-36.
- Schulze, William S., et al. Agency relationships in family firms: Theory and evidence.Organization Science 12.2 (2001): 99-116.